Market volatility is normal and expected. History tells us this too shall pass. Consider this: To date, every significant market fall has been followed by a rebound. We anticipate downturns; we just can’t predict how low the market will go or when it will bounce back.
I trust my asset allocation because it’s based on my time horizon, risk tolerance, and goals.
I don’t know if market volatility will be the “new normal,” but I know it’s normal—so normal, in fact, we’ve posted several blog posts about it before.